From Yahoo Finance: 2025-03-25 11:38:00

Americans are becoming more pessimistic about the US economy, with consumer sentiment at a 12-year low. The latest consumer confidence index reading dropped to 92.9 in March, the lowest in over four years. Expectations for income, business, and labor market conditions remain below recession thresholds.

Consumers are feeling uncertain about their financial situation, with expectations hitting a 12-year low. Only current labor market conditions improved in March, while future expectations, including inflation, worsened. A decline in stock market outlook and rising fears of lower income in the next year add to economic concerns.

Federal Reserve Chair Jerome Powell questions whether declining consumer confidence will translate to real economic weakness. Economists suggest a weaker growth outlook for the US economy but see no clear signs of a significant slowdown or impending recession. Despite concerns, there is no immediate trigger for drastic shifts in spending behavior.

Read more: Americans’ expectations for the economy hit their lowest level in 12 years